The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1887-06-05
THE UNION PACIFIC INQUIRY.
President Adams Thinks the Government
Has Been Fully Paid Five Times Over.

Boston, June 4.-The final session in Boston
of the Union Pacific investigating commission
was held this morning. Several papers in rela-
ton to the statistics of the road, offered by
Comptroller Mink, were put in evidence,
also Jay Goulds account with the Kansas Pa
cifc and UCiou Pacific. President Adams Of the
Union Pacific. was the first witness He said an
impression had gone forth that the matter
of consolidation had resulted in foisting
couple of worthless roads upon the
Union Pacific He presented a statement of
the earnings Of the annexed lines to prove that
this was not So The Kansas Pacific branch, at
the present time, earns much as the Union
Pacific Central line The conso lidation had been
advantageous for all the roads Bonds which,
at the time of the consolidation, were at 80, are
now at par. Those sold at so are now bought
100 1t YVES very apparent, he said, that the
whole matter OF consolidation has benefited the
community exceedingly. and. in his opinion any
attempt to sever the consolidation would be
ceedineiy unfortunate. 1t has helped traffic by
breaking down barriers and reducing rates,
as we'll as increasing the governments
security. The witness said he had no reason to
suppose that any of the directors profted i'm
properly from 1t, and, while unwilling to pass
judgment upon Mr. Gould IN this connection, he
thouy ht the settlement was n very good and
Timely one. He thought the Union Pacific
ceived from roads east about ST, 20G, 600 in
structive mileage, while it pays out 5000 600 for
that purpose Much has been said about the
TACT That n large portion OK the stock OF the
Union Pacific and kansas Pacific was issued for
construction purposes, and not to be paid
for in cash; but the witness declared
there has been paid in more than 16
per cent in cash the stock of the
Union Pacific. This is a better showing than
that made by any other road west of Chicago.
The witness believed that, however much may
have been made by private individually there is
party in the country that has made so much
out of the Union Pacific the government of
the United States. The entire amount which it
has paid to the company has. he claimed, been
repaid fully five times over. He claimed that if
the road should, when the time for
the maturity of its debt arrived, find
itself unable to its obligations
it will be purely the fault of the government for
its attitude toward the road and the passage of
the Thurman act. The sinking fund created by
the act which it's projectors claimed would earn
8 per cent, Is, in reality, barren fund locked
up in napkin and hearing only 2
cent. THE government" he said
forces to divert our money to a
source that no business man has confidence
in, and submit it is neither justice, business,
nor common sense. The government holds our
arms while our competitors pick our pockets.
With the $7.OOO,0O0 locked MP in this fund we
could develop the Western country and trans
form the fortunes of the road If the government
should give the road its freedom and the road
should fail to meet it's obligations. then the gov
eminent could step in and foreclose."
At noon the hearing finally closed. not to be
reopened In Boston until next October.